Beijing is tightening screening on Chinese companies' overseas investments, according to the government and reports, after a record-setting shopping spree raised concerns of capital flight and reckless spending.

Authorities will "combine facilitating foreign investment with guarding against investment risks" by scrutinising proposed deals, said a statement posted on the website of the National Development and Reform Commission, the top economic planner, without giving details.

New restrictions will ban most deals over USD 10 billion and curb investments of more than USD 1 billion in sectors unrelated to a company's core business, Bloomberg News reported, citing people with knowledge of the matter.

State-owned companies will be barred from spending more than USD 1 billion on overseas property and the rules will last until September 2017, it added.

The tightening comes after authorities long urged private and state-owned enterprises to "go abroad" to buy foreign brands, technologies and resources in search of better returns and technological know-how.

But increasing capital outflows from China have raised concerns with the yuan currency weakening against the dollar, hitting a nearly eight-year low this month.

China has spent hundreds of billions of dollars from its vast foreign exchange reserves, the world's largest, in its efforts to keep the yuan from falling too rapidly.

Chinese investment in non-financial firms surged 53 per cent year-on-year to USD 146 billion from January to October this year, government data showed.

But while China has gone on a buying spree, foreign partners in the US and EU have complained of a lack of reciprocal access to Chinese industries, with many sectors off-limits or restricted to outside investment. Among them are telecommunications, media, energy, and legal and financial services.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)